Company Big is the parent company of Company Small, we have the following questions to be answered each question is independent from the others.

a. On 07/01/2014, Big sold a piece of the patent to small for $5,000,000. Right before the transaction, the patent had a book value of $4,000,000. Note the patent had 5 years of useful life left upon the transaction. On 04/01/2016, small sold the patent for $5,000,000 to an outsider, please write down the adjusting journal entries regarding the patent for 20014, 2015 and 2016 separately.

b. In 2014 Big sold some inventory to Small for $10,000,000 at the cost of $8,000,000, by the end of 2014, Small sold 60% of the batch of inventory to an outsider. In 2015 Big sold some other inventory to Small for $9,000,000 at the cost of $7,000,000, by the end of 2015 75% of the batch of inventory was sold to an outsider. Please note that Small uses FIFO. Please write down the adjusting journal entries for 2014 and 2015 separately.